IDEAS home Printed from https://ideas.repec.org/a/wly/corsem/v28y2021i6p1647-1663.html
   My bibliography  Save this article

Corporate social responsibility antecedents and practices as a path to enhance organizational performance: The case of small and medium sized enterprises in an emerging economy country

Author

Listed:
  • Walid Cheffi
  • Chrisovalantis Malesios
  • Ahmed Abdel‐Maksoud
  • Sonia Abdennadher
  • Prasanta Dey

Abstract

The impact of stakeholders' pressure and business uncertainties on the correlation between corporate social responsibility (CSR) and organizational performance within small and medium sized enterprises (SMEs) is under researched. This study aims to derive the correlation of CSR antecedents, CSR practices, stakeholders' pressures, business uncertainties, and organizational performance of SMEs in the UAE. The data was collected through a survey from 117 SMEs in the UAE, and analyzed using structural equation modeling. The study reveals that the level of importance SMEs attach to CSR antecedents influences positively the extent of SMEs involvement with CSR practices; and these, in turn, translate into significant performance outcomes for SMEs. Business uncertainties are proved to moderate both relationships (CSR antecedents‐CSR practices; and CSR practices‐SMEs performance); while stakeholders' pressure is found to have no moderating effect on CSR antecedent‐CSR practices relationship. The proposed framework could be adopted in any economy for enhancing performance through CSR.

Suggested Citation

  • Walid Cheffi & Chrisovalantis Malesios & Ahmed Abdel‐Maksoud & Sonia Abdennadher & Prasanta Dey, 2021. "Corporate social responsibility antecedents and practices as a path to enhance organizational performance: The case of small and medium sized enterprises in an emerging economy country," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(6), pages 1647-1663, November.
    • Handle: RePEc:wly:corsem:v:28:y:2021:i:6:p:1647-1663
    DOI: 10.1002/csr.2135
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/csr.2135
    Download Restriction: no
    File URL: https://libkey.io/10.1002/csr.2135?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Francesco Perrini & Angeloantonio Russo & Antonio Tencati & Clodia Vurro, 2011. "Deconstructing the Relationship Between Corporate Social and Financial Performance," Journal of Business Ethics, Springer, vol. 102(1), pages 59-76, March.
    2. David Williamson & Gary Lynch-Wood & John Ramsay, 2006. "Drivers of Environmental Behaviour in Manufacturing SMEs and the Implications for CSR," Journal of Business Ethics, Springer, vol. 67(3), pages 317-330, September.
    3. Paul Lanoie, 2008. "When And Why Does It Pay To Be Green?," CIRANO Papers 2008n-02a, CIRANO.
    4. Patricia Crifo & Marc-Arthur Diaye & Sanja Pekovic, 2016. "CSR related management practices and Firm Performance," Post-Print hal-01278585, HAL.
    5. Martin-Tapia, Inmaculada & Aragon-Correa, Juan Alberto & Senise-Barrio, Maria Eugenia, 2008. "Being green and export intensity of SMEs: The moderating influence of perceived uncertainty," Ecological Economics, Elsevier, vol. 68(1-2), pages 56-67, December.
    6. Henri, Jean-François & Journeault, Marc, 2010. "Eco-control: The influence of management control systems on environmental and economic performance," Accounting, Organizations and Society, Elsevier, vol. 35(1), pages 63-80, January.
    7. David Gadenne & Jessica Kennedy & Catherine McKeiver, 2009. "An Empirical Study of Environmental Awareness and Practices in SMEs," Journal of Business Ethics, Springer, vol. 84(1), pages 45-63, January.
    8. Mª Eugenia López‐Pérez & Iguácel Melero & F Javier Sese, 2017. "Management for Sustainable Development and Its Impact on Firm Value in the SME Context: Does Size Matter?," Business Strategy and the Environment, Wiley Blackwell, vol. 26(7), pages 985-999, November.
    9. Richard Arend, 2014. "Social and Environmental Performance at SMEs: Considering Motivations, Capabilities, and Instrumentalism," Journal of Business Ethics, Springer, vol. 125(4), pages 541-561, December.
    10. Enno Masurel, 2007. "Why SMEs invest in environmental measures: sustainability evidence from small and medium‐sized printing firms," Business Strategy and the Environment, Wiley Blackwell, vol. 16(3), pages 190-201, March.
    11. Muhammad Islam & Craig Deegan, 2010. "Media pressures and corporate disclosure of social responsibility performance information: A study of two global clothing and sports retail companies," Accounting and Business Research, Taylor & Francis Journals, vol. 40(2), pages 131-148.
    12. Alan Muller & Ans Kolk, 2010. "Extrinsic and Intrinsic Drivers of Corporate Social Performance: Evidence from Foreign and Domestic Firms in Mexico," Journal of Management Studies, Wiley Blackwell, vol. 47(1), pages 1-26, January.
    13. Baden, D.A. & Harwood, I.A. & Woodward, D.G., 2009. "The effect of buyer pressure on suppliers in SMEs to demonstrate CSR practices: An added incentive or counter productive?," European Management Journal, Elsevier, vol. 27(6), pages 429-441, December.
    14. Dima Jamali, 2008. "A Stakeholder Approach to Corporate Social Responsibility: A Fresh Perspective into Theory and Practice," Journal of Business Ethics, Springer, vol. 82(1), pages 213-231, September.
    15. Elisabeth Albertini, 2013. "Does Environmental Management Improve Financial Performance? A Meta-Analytical Review," Post-Print halshs-01887802, HAL.
    16. Caroline Flammer, 2015. "Does Corporate Social Responsibility Lead to Superior Financial Performance? A Regression Discontinuity Approach," Management Science, INFORMS, vol. 61(11), pages 2549-2568, November.
    17. Angeloantonio Russo & Francesco Perrini, 2010. "Investigating Stakeholder Theory and Social Capital: CSR in Large Firms and SMEs," Journal of Business Ethics, Springer, vol. 91(2), pages 207-221, January.
    18. Stephan Vachon & Sara Hajmohammad, 2016. "Supply chain uncertainty and environmental management," Asian Journal of Sustainability and Social Responsibility, Springer, vol. 1(1), pages 77-89, December.
    19. Helm, Roland & Gritsch, Stephanie, 2014. "Examining the influence of uncertainty on marketing mix strategy elements in emerging business to business export-markets," International Business Review, Elsevier, vol. 23(2), pages 418-428.
    20. Su‐Yol Lee & Yun‐Seon Park & Robert D. Klassen, 2015. "Market Responses to Firms' Voluntary Climate Change Information Disclosure and Carbon Communication," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 22(1), pages 1-12, January.
    21. Govindan, Kannan & Kilic, Merve & Uyar, Ali & Karaman, Abdullah S., 2021. "Drivers and value-relevance of CSR performance in the logistics sector: A cross-country firm-level investigation," International Journal of Production Economics, Elsevier, vol. 231(C).
    22. S. R. Lawrence & E. Collins & K. Pavlovich & M. Arunachalam, 2006. "Sustainability practices of SMEs: the case of NZ," Business Strategy and the Environment, Wiley Blackwell, vol. 15(4), pages 242-257, July.
    23. Michaela Balzarova & Pavel Castka, 2012. "Stakeholders’ Influence and Contribution to Social Standards Development: The Case of Multiple Stakeholder Approach to ISO 26000 Development," Journal of Business Ethics, Springer, vol. 111(2), pages 265-279, December.
    24. Schmid, Stefan & Kotulla, Thomas, 2011. "50 years of research on international standardization and adaptation--From a systematic literature analysis to a theoretical framework," International Business Review, Elsevier, vol. 20(5), pages 491-507, October.
    25. S. Marquet-Pondeville & V. Swaen & Y. de Ronge, 2013. "Environmental management control systems: The role of contextual and strategic factors," Post-Print hal-00846969, HAL.
    26. Ulrike Gelbmann, 2010. "Establishing strategic CSR in SMEs: an Austrian CSR quality seal to substantiate the strategic CSR performance," Sustainable Development, John Wiley & Sons, Ltd., vol. 18(2), pages 90-98.
    27. David Murillo & Josep Lozano, 2006. "SMEs and CSR: An Approach to CSR in their Own Words," Journal of Business Ethics, Springer, vol. 67(3), pages 227-240, September.
    28. Zhi Tang & Clyde Eiríkur Hull & Sandra Rothenberg, 2012. "How Corporate Social Responsibility Engagement Strategy Moderates the CSR–Financial Performance Relationship," Journal of Management Studies, Wiley Blackwell, vol. 49(7), pages 1274-1303, November.
    29. Crifo, Patricia & Diaye, Marc-Arthur & Pekovic, Sanja, 2016. "CSR related management practices and firm performance: An empirical analysis of the quantity–quality trade-off on French data," International Journal of Production Economics, Elsevier, vol. 171(P3), pages 405-416.
    30. Jose Moneva & Fernando Llena, 2000. "Environmental disclosures in the annual reports of large companies in Spain," European Accounting Review, Taylor & Francis Journals, vol. 9(1), pages 7-29.
    31. Tang, Zhi & Tang, Jintong, 2012. "Stakeholder–firm power difference, stakeholders' CSR orientation, and SMEs' environmental performance in China," Journal of Business Venturing, Elsevier, vol. 27(4), pages 436-455.
    32. Dima Jamali & Ben Neville, 2011. "Convergence Versus Divergence of CSR in Developing Countries: An Embedded Multi-Layered Institutional Lens," Journal of Business Ethics, Springer, vol. 102(4), pages 599-621, September.
    33. Henriques, Irene & Sadorsky, Perry, 1996. "The Determinants of an Environmentally Responsive Firm: An Empirical Approach," Journal of Environmental Economics and Management, Elsevier, vol. 30(3), pages 381-395, May.
    34. Chi-Shiun Lai & Chih-Jen Chiu & Chin-Fang Yang & Da-Chang Pai, 2010. "The Effects of Corporate Social Responsibility on Brand Performance: The Mediating Effect of Industrial Brand Equity and Corporate Reputation," Journal of Business Ethics, Springer, vol. 95(3), pages 457-469, September.
    35. Jean-Pascal Gond & Assâad El Akremi & Valérie Swaen & Nishat Babu, 2017. "The psychological microfoundations of corporate social responsibility: A person-centric systematic review," Post-Print halshs-01698534, HAL.
    36. Massimo Battaglia & Francesco Testa & Lara Bianchi & Fabio Iraldo & Marco Frey, 2014. "Corporate Social Responsibility and Competitiveness within SMEs of the Fashion Industry: Evidence from Italy and France," Sustainability, MDPI, vol. 6(2), pages 1-22, February.
    37. Juelin Yin & Yuli Zhang, 2012. "Institutional Dynamics and Corporate Social Responsibility (CSR) in an Emerging Country Context: Evidence from China," Journal of Business Ethics, Springer, vol. 111(2), pages 301-316, December.
    38. de Villiers, Charl & van Staden, Chris J., 2006. "Can less environmental disclosure have a legitimising effect? Evidence from Africa," Accounting, Organizations and Society, Elsevier, vol. 31(8), pages 763-781, November.
    39. Geoffrey Williams & John Zinkin, 2010. "Islam and CSR: A Study of the Compatibility Between the Tenets of Islam and the UN Global Compact," Journal of Business Ethics, Springer, vol. 91(4), pages 519-533, February.
    40. Andrew Sturdy & Nick Wylie & Christopher Wright, 2013. "Management Consultancy and Organizational Uncertainty," International Studies of Management & Organization, Taylor & Francis Journals, vol. 43(3), pages 58-73, January.
    41. Margaret Griesse, 2007. "The Geographic, Political, and Economic Context for Corporate Social Responsibility in Brazil," Journal of Business Ethics, Springer, vol. 73(1), pages 21-37, June.
    42. Lueg, Rainer & Radlach, Ronny, 2016. "Managing sustainable development with management control systems: A literature review," European Management Journal, Elsevier, vol. 34(2), pages 158-171.
    43. Zhu, Qinghua & Liu, Junjun & Lai, Kee-hung, 2016. "Corporate social responsibility practices and performance improvement among Chinese national state-owned enterprises," International Journal of Production Economics, Elsevier, vol. 171(P3), pages 417-426.
    44. Roper, Stephen & Tapinos, Efstathios, 2016. "Taking risks in the face of uncertainty: An exploratory analysis of green innovation," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 357-363.
    45. Vachon, Stephan & Klassen, Robert D., 2008. "Environmental management and manufacturing performance: The role of collaboration in the supply chain," International Journal of Production Economics, Elsevier, vol. 111(2), pages 299-315, February.
    46. Ian Worthington & Monder Ram & Trevor Jones, 2006. "Exploring Corporate Social Responsibility in the U.K. Asian Small Business Community," Journal of Business Ethics, Springer, vol. 67(2), pages 201-217, August.
    47. Cegarra-Navarro, Juan-Gabriel & Reverte, Carmelo & Gómez-Melero, Eduardo & Wensley, Anthony K.P., 2016. "Linking social and economic responsibilities with financial performance: The role of innovation," European Management Journal, Elsevier, vol. 34(5), pages 530-539.
    48. Pavel Castka & Michaela A. Balzarova & Christopher J. Bamber & John M. Sharp, 2004. "How can SMEs effectively implement the CSR agenda? A UK case study perspective," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 11(3), pages 140-149, September.
    49. Denis Cormier & Michel Magnan, 2015. "The Economic Relevance of Environmental Disclosure and its Impact on Corporate Legitimacy: An Empirical Investigation," Business Strategy and the Environment, Wiley Blackwell, vol. 24(6), pages 431-450, September.
    50. David A. Waldman & Donald S. Siegel & Mansour Javidan, 2006. "Components of CEO Transformational Leadership and Corporate Social Responsibility," Journal of Management Studies, Wiley Blackwell, vol. 43(8), pages 1703-1725, December.
    51. Fernanda Duarte, 2010. "Working with Corporate Social Responsibility in Brazilian Companies: The Role of Managers’ Values in the Maintenance of CSR Cultures," Journal of Business Ethics, Springer, vol. 96(3), pages 355-368, October.
    52. Nuttaneeya Torugsa & Wayne O’Donohue & Rob Hecker, 2012. "Capabilities, Proactive CSR and Financial Performance in SMEs: Empirical Evidence from an Australian Manufacturing Industry Sector," Journal of Business Ethics, Springer, vol. 109(4), pages 483-500, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Qiansong Zhang & Taiwen Feng & Long Cheng & Qingsong He, 2022. "Institutional force and firm performance: Do employee green involvement and flexibility‐oriented culture matter?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(4), pages 950-964, July.
    2. Chhatwani, Malvika & Mishra, Sushanta Kumar & Varma, Arup & Rai, Himanshu, 2022. "Psychological resilience and business survival chances: A study of small firms in the USA during COVID-19," Journal of Business Research, Elsevier, vol. 142(C), pages 277-286.
    3. Jieh-Haur Chen & Tien-Sheng Chou & Jui-Pin Wang & Hsi-Hsien Wei & Tzu-Han Yang, 2021. "Sustainable Corporate Governance: The Impact Factors for Top Consulting Engineering Companies in Taiwan," Sustainability, MDPI, vol. 13(14), pages 1-12, July.
    4. Dey, Prasanta Kumar & Malesios, Chrysovalantis & Chowdhury, Soumyadeb & Saha, Krishnendu & Budhwar, Pawan & De, Debashree, 2022. "Adoption of circular economy practices in small and medium-sized enterprises: Evidence from Europe," International Journal of Production Economics, Elsevier, vol. 248(C).
    5. Muhammad Salman Asif & Henry Lau & Dilupa Nakandala & Youqing Fan & Hilal Hurriyet, 2022. "Case study research of green life cycle model for the evaluation and reduction of scope 3 emissions in food supply chains," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(4), pages 1050-1066, July.
    6. Zhang, Zhongqingyang & Zhu, Huiming & Zhou, Zhongbao & Zou, Kai, 2022. "How does innovation matter for sustainable performance? Evidence from small and medium-sized enterprises," Journal of Business Research, Elsevier, vol. 153(C), pages 251-265.
    7. Lan Gao & Feng Yang, 2023. "Do resource slack and green organizational climate moderate the relationships between institutional pressures and corporate environmental responsibility practices of SMEs in China?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(11), pages 13495-13520, November.
    8. Cheffi, Walid & Kaleem Zahir-ul-Hassan, Muhammad & Omer Farooq, Muhammad & Baqrain, Abdelrahman & Mohamed Habib Mansour, Mourad, 2023. "Ethical leadership, management control systems and circular economy in SMEs in an emerging economy, the UAE," Journal of Business Research, Elsevier, vol. 156(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Leon Guillén & Afcha Sergio & Chu Manuel, 2022. "Research on social responsibility of small and medium enterprises: a bibliometric analysis," Management Review Quarterly, Springer, vol. 72(3), pages 857-909, September.
    2. Walid Cheffi & Ahmed Abdel-Maksoud & Muhammad Omer Farooq, 2021. "CSR initiatives, organizational performance and the mediating role of integrating CSR into management control systems: Testing an inclusive model within SMEs in an emerging economy," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 32(3), pages 333-367, September.
    3. Tong, Xun & Chen, Jianghang & Zhu, Qinghua & Cheng, T.C.E., 2018. "Technical assistance, inspection regime, and corporate social responsibility performance: A behavioural perspective," International Journal of Production Economics, Elsevier, vol. 206(C), pages 59-69.
    4. Johan Lindeque & Olga Samuel & Corin Kraft, 2022. "Small Businesses’ Social Responsibility and Political Activity Survey Studies: A Review, Synthesis, and Research Agenda," SAGE Open, , vol. 12(2), pages 21582440221, April.
    5. Claudia Patricia Maldonado-Erazo & José Álvarez-García & María de la Cruz del Río-Rama & Ronny Correa-Quezada, 2020. "Corporate Social Responsibility and Performance in SMEs: Scientific Coverage," Sustainability, MDPI, vol. 12(6), pages 1-26, March.
    6. Jean-Marie Courrent & Sonia Chassé & Waleed Omri, 2018. "Do Entrepreneurial SMEs Perform Better Because They are More Responsible?," Journal of Business Ethics, Springer, vol. 153(2), pages 317-336, December.
    7. Brigitte Hoogendoorn & Peter van der Zwan & Daniela Guerra, 2014. "What drives environmental practices of SMEs?," Scales Research Reports H201405, EIM Business and Policy Research.
    8. Carla Gonzales-Gemio & Claudio Cruz-Cázares & Mary Jane Parmentier, 2020. "Responsible Innovation in SMEs: A Systematic Literature Review for a Conceptual Model," Sustainability, MDPI, vol. 12(24), pages 1-27, December.
    9. Úbeda-García, Mercedes & Claver-Cortés, Enrique & Marco-Lajara, Bartolomé & Zaragoza-Sáez, Patrocinio, 2021. "Corporate social responsibility and firm performance in the hotel industry. The mediating role of green human resource management and environmental outcomes," Journal of Business Research, Elsevier, vol. 123(C), pages 57-69.
    10. Brigitte Hoogendoorn & Daniela Guerra & Peter Zwan, 2015. "What drives environmental practices of SMEs?," Small Business Economics, Springer, vol. 44(4), pages 759-781, April.
    11. Xue Yang & Yuandi Wang & Die Hu & Yongqiang Gao, 2018. "How industry peers improve your sustainable development? The role of listed firms in environmental strategies," Business Strategy and the Environment, Wiley Blackwell, vol. 27(8), pages 1313-1333, December.
    12. Denise Baden & Swarna Prasad, 2016. "Applying Behavioural Theory to the Challenge of Sustainable Development: Using Hairdressers as Diffusers of More Sustainable Hair-Care Practices," Journal of Business Ethics, Springer, vol. 133(2), pages 335-349, January.
    13. Kaveh Asiaei & Nick Bontis & Omid Barani & Ruzita Jusoh, 2021. "Corporate social responsibility and sustainability performance measurement systems: implications for organizational performance," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 32(1), pages 85-126, March.
    14. Yang, Yefei & Lau, Antonio K.W. & Lee, Peter K.C. & Cheng, T.C.E., 2020. "The performance implication of corporate social responsibility in matched Chinese small and medium-sized buyers and suppliers," International Journal of Production Economics, Elsevier, vol. 230(C).
    15. Mazboudi, Mohamad & Sidani, Yusuf M. & Al Ariss, Akram, 2020. "Harmonization of firm CSR policies across national contexts: Evidence from Brazil & Sweden," International Business Review, Elsevier, vol. 29(5).
    16. Gaurav Dawar & Seema Singh, 2022. "How Can Small and Medium Enterprises Effectively Implement Corporate Social Responsibility?: An Indian Perspective," Global Business Review, International Management Institute, vol. 23(3), pages 756-784, June.
    17. Richard M. Crossley & Mohamed H. Elmagrhi & Collins G. Ntim, 2021. "Sustainability and legitimacy theory: The case of sustainable social and environmental practices of small and medium‐sized enterprises," Business Strategy and the Environment, Wiley Blackwell, vol. 30(8), pages 3740-3762, December.
    18. Adriana Burlea-Schiopoiu & Laurentiu Stelian Mihai, 2019. "An Integrated Framework on the Sustainability of SMEs," Sustainability, MDPI, vol. 11(21), pages 1-22, October.
    19. Magrizos, Solon & Apospori, Eleni & Carrigan, Marylyn & Jones, Rosalind, 2021. "Is CSR the panacea for SMEs? A study of socially responsible SMEs during economic crisis," European Management Journal, Elsevier, vol. 39(2), pages 291-303.
    20. Wenbin Sun & Rahul Govind, 2022. "A New Understanding of Marketing and “Doing Good”: Marketing’s Power in the TMT and Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 176(1), pages 89-109, February.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:corsem:v:28:y:2021:i:6:p:1647-1663. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://doi.org/10.1002/(ISSN)1535-3966 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.